Legitimacy Theory

Assignment Description: This assignment requires students to critically evaluate the theories of financial accounting. It gives the students the opportunity to demonstrate their level of understanding of the conceptual background to accounting practice and regulation. Question 1 (750 Words) – 30 Marks How would the following theories explain sustainability accounting (including corporate social responsibility reporting)? a) Positive Accounting Theory b) Legitimacy Theory c) Stakeholder Theory d) Institutional Theory Question 2 (750 Words) – 30 Marks Discuss the limitations and criticisms of Positive Accounting Theory. In your answer, you should clearly indicate whether or not you agree with these perceived shortcomings of PAT and why. Marking criteria Marks will be allocated to: Clear and concise discussion of the key points Relevance to the topic and evidence of wide reading/research Presentation – format, spelling, vocabulary, readability Appropriate referencing, including in-text referencing and a reference list Students may follow either: Harvard referencing style or ; APA 6 referencing style *work on Question 2 only*

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